More US households continue to struggle to meet expenses now than in the immediate aftermath of the Covid-19 pandemic, when millions lost their means of employment, a Census Bureau survey showed.

Almost 38.5% of American homes — the equivalent of about 89.1 million — face difficulty in paying for usual home expenses between April 26 and May 8, according to the latest Household Pulse Survey. That’s up from 34.4% a year ago and 26.7% during the same period in 2021.

The Census Bureau collaborates with multiple federal agencies to compile the survey developed during the pandemic to collect data and measure household experiences to help inform federal and state governments.

The share of struggling households varies widely by geography. Residents in states with lower median incomes such as Louisiana and Mississippi are facing the largest budget problems. In 15 states, more than 4 in 10 adults live in households where it has been somewhat or very difficult to pay for usual household expenses in the last seven days. And in some metro areas, such as Los Angeles and Riverside, California, almost half of households are struggling.

To combat these budget problems, many households are turning to credit cards for help. More than 25 million households say that they used credit cards or obtained a loan to meet spending needs. That’s up from 22.4 million a year earlier.

The use of credit cards will likely bring additional budget worries in the near term as the average interest rate on this type of debt now exceeds 20%.

This article was provided by Bloomberg News.